Earnings

Pacesetter Homes Inc., Newport Beach, reported a profit of $7,000 for the second quarter, contrasted with a loss of $771,000 for the period last year. Revenue increased 56% to $13.5 million from $8.6 million. For the first half of 1989, net income totaled $219,000, contrasted with a loss of $321,000 for the first six months of 1988. Revenue declined 12% to $23.4 million from $26.7 million. During the second quarter of 1989, the company provided a reserve for estimated tax audit assessments related to 1983 and 1984. This reserve reduced after-tax earnings by $640,000.